Jun. 30 at 2:16 AM
$DMGGF Just some more facts here fellas.
DMG’s trailing twelve-month Debt Service Coverage Ratio (DSCR) is approximately 0.36, well below the typical lender requirement of 1.25x–1.50x. This indicates the company currently generates insufficient cash flow to cover existing debt obligations, let alone new project debt.
With a net loss of ~
$9.5 million on
$41.5 million revenue (TTM), DMG lacks the EBITDA required to service a
$250M loan.
The loan would likely be secured by the 12-year tenant contract. However, since the current LOI is non-binding and the tenant is unnamed, there is no bankable contract to pledge as collateral yet. Lenders rarely fund "speculative" conversions without a signed, investment-grade lease.
Yes this all AI summary. Double check it for me and reply, or do what you will with this info. I got plenty more for all the haters.